Susana SchwartzSell-offs in semiconductor sector as investors digest Huang exit
The fallout from Jensen Huang’s resignation at Nvidia continues to grow, with the former co-founder and CEO agreeing to testify in front of Congress in upcoming weeks.
Commerce Secretary Howard Lutnick is also being asked to testify in front of lawmakers, who want to know more about enforcement of chip exports to China.
The increase in scrutiny helped trigger a selloff across the AI chip sector, with Nvidia, Micron, AMD, and Broadcom stocks seeing a downturn at the end of trading today. Initially, AMD and Broadcom realized slight rallies – perhaps because investors thought they’d pick up any Nvidia losses, but toward the end of trading, the trend seemed to have reversed with significant losses for some.
Huang will testify before House lawmakers some time before Thanksgiving, and he will sit before a Senate panel on December 3. A week later on December 10, Lutnick is scheduled to appear before a Senate Banking Committee.
Susana Schwartz
Technology Editor
RCRTech
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